479294 These rules amend the license renewal process to enable licenses to be renewed through the automatic renewal procedures of the Nationwide Mortgage Licensing System. The rules will require licensees to submit supplemental documents and ...
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DEPARTMENT OF INSURANCE, SECURITIES AND BANKING
NOTICE OF EMERGENCY AND PROPOSED RULEMAKING
The Commissioner of the Department of Insurance, Securities and Banking (Department), pursuant to the authority set forth in section 22 of the Mortgage Lender and Broker Act of 1996, effective September 9, 1996 (D.C. Law 11-155; D.C. Official Code § 26-1121 (2001)) (Act), hereby gives notice of the adoption on an emergency basis of amendments to Chapter 11 (Mortgage Lenders, Mortgage Brokers and Mortgage Loan Originators) of Title 26C (Banking and Financial Institutions) of the District of Columbia Municipal Regulations.
These emergency amendments are further action by the Department to comply with Title V of the Housing and Economic Recovery Act of 2008, approved July 30, 2008, Pub. L. 110-289, 122 Stat. 2654, the Secure and Fair Enforcement for Mortgage Licensing Act of 2008 (the SAFE Act). As part of its initial compliance with the SAFE Act, the Department contracted with the Nationwide Mortgage Licensing System (NMLS) to process license applications starting August 3, 2009. The Department’s first licensure renewals under the NMLS will occur during the period November 1, 2010, through December 31, 2010.
This emergency action is necessary to enable the Department to fully utilize the automatic renewal process offered by the NMLS to renew mortgage lender, mortgage broker, mortgage dual authority, and mortgage loan originator licenses for the 2011 license renewal period. This rulemaking, therefore, is necessary for the immediate preservation of the public safety and welfare.
The Commissioner also gives notice of intent to take final rulemaking action to adopt these amendments in not less than thirty (30) days after the date of publication of this notice in the D.C. Register.
The emergency rules will become effective on August 25, 2010, and will expire within 120 days, or upon publication of a Notice of Final Rulemaking in the D.C. Register, whichever occurs first.
Chapter 11 (Mortgage Lenders, Mortgage Brokers and Mortgage Loan Originators) of Title 26C (Banking and Financial Institutions) of the District of Columbia Municipal Regulations is amended as follows:
Section 1111 (Renewal of License) shall be amended as follows:
1111 RENEWAL OF LICENSE
1111.1 In order to renew a license, a licensee shall:
(a) File all required forms and fees that are to be filed directly with the Department, as noted by the NMLS, by no later than October 15 of a given year. If October 15 falls on a Saturday, Sunday, or legal holiday, then the required forms and fees shall be filed no later than the next business day.
(b) When the NMLS renewal period opens, file with the NMLS a renewal license application at least thirty (30) days before the expiration date of the licensee’s current license, on a form prescribed by the Department, which shall be accompanied with the required fees as prescribed in Appendix A and any other required information.
1111.6 A license that remains expired after the last day of February of any year, or such other date that may be selected by the NMLS for the same purpose, cannot be renewed. The licensee must apply for a new license.
1111.7 A renewal license application filed after the license expiration deadline set forth in section 1111.2, but before the last day of February of any year, shall be subject to, and accompanied by, a reinstatement fee as prescribed in Appendix A.
1111.8 Any fees paid pursuant to this section shall be non-refundable.
1111.9 The Department shall approve or deny a renewal license application not later than sixty (60) days after the date a complete application is filed with the Department. For purposes of this section, an application is complete when the licensee has satisfied all District of Columbia and NMLS licensure requirements.
1115 (Annual Assessments) shall be amended as follows:
1115 ANNUAL ASSESSMENTS
1115.1 Each licensed mortgage lender, mortgage broker, or mortgage dual authority licensee who held a license during the prior licensing period shall be subject to an assessment as prescribed in Appendix A. The assessment shall be determined to be the sum of a fixed amount based on the license type plus a variable amount based on the number of loans originated, brokered, or serviced in the previous license period as prescribed in Appendix A.
1115.3 All annual assessments are due on or before October 15 of each calendar year. Failure to file an annual assessment by October 15 of a calendar year shall subject the licensee to the late fees prescribed in Appendix A.
1115.4 In addition to the imposition of any fees prescribed in Appendix A, the Commissioner may initiate an enforcement action within his or her authority to enforce the provisions of this section.
Appendix A is amended to read as follows:
APPENDIX A
MORTGAGE LENDER, MORTGAGE BROKER, MORTGAGE LOAN ORIGINATOR, AND MORTGAGE DUAL AUTHORITY LICENSE FEES
Mortgage Loan Originator License
Mortgage Broker License
Mortgage Lender License
Mortgage Dual Authority License
DISB Initial Application Fee
$300 + NMLSR Fee
$1,100 + NMLSR Fee
$1,200 + NMLSR Fee
$1,300 + NMLSR Fee
DISB Renewal Application Fee
$300 + NMLSR Fee
$900 + NMLSR Fee
$1,000 + NMLSR Fee
$1,200 + NMLSR Fee
DISB Amendment Fee
$100.00
$100
$100
$100
DISB Late Fee
$300.00
$300
$ 300
$300
DISB Reinstatement Fee
$400.00
$400
$ 400
$400
DISB Acquisition of Control Fee
n/a
$500
$500
$500
DISB Annual Assessment Fee
n/a
$400 + $6.60 per loan
$800 + $6.60 per loan
$1,200 + $ 6.60 per loan
DISB Examination Fee
$400 per examiner day
$400 per examiner day
$400 per examiner day
$400 per examiner day
All persons desiring to comment on the subject matter of this proposed rulemaking shall file comments in writing, not later than thirty (30) days after the date of the publication of this notice in the D.C. Register. Comments should be filed with Edna Boateng, Interim Associate Commissioner of Banking, Department of Insurance, Securities and Banking, 810 First Street, NE, Suite 701, Washington, DC 20002. Comments may also be sent electronically to edna.boateng@dc.gov. Copies of the proposed rulemaking are available by writing to the above address. Copies of the proposed rulemaking also may be obtained from the Department at the same address during the hours of 8:30 a.m. and 4:30 p.m., Monday through Friday, excluding legal holidays.
